On 07 October 2024, the Department of Agriculture, Land Reform and Rural Development (DALRRD) published a Government Gazette Notice in terms of the Broad-Based Black Economic Empowerment (B-BBEE) Act, titled “Application for Market Access Permits for agricultural products in terms of World Trade Organization for 2025”.
According to the notice, to fulfil South Africa's commitment under the World Trade Organization (WTO) Marrakesh Agreement regarding market access, it is hereby made known that market access permits will be issued for the products specified in the Import Arrangements and under the conditions set out in the Schedule in the Notice.
Permits will be issued only to importers in South Africa for importation into South Africa for the quantities and at the reduced levels of duty as specified in Table 1 in the Notice.
Conditions for the Issuing of Import Permits
Permits for the products specified in the Table will be allocated based on the Preferential Market Access Permit Allocation Points System, which takes into account the following variables:
(a) The B-BBEE status of applicants – obtained from a B-BBEE certificate measured against Amended AgriBEE Sector Code issued by a South African National Accreditation System (SANAS) accredited verifications agency or B-BBEE Sworn Affidavit for Exempt Micro Enterprise (EMEs)/Black Owned Qualifying Small Enterprise (QSEs), template available from the Department of Trade, Industry and Competition (the dtic) website;
(b) The market share of applicants derived from historical data for the past three years (2021, 2022, 2023);
(c) Quota applied for by applicants;
(d) Number of applicants; and
(e) The quota available.
A Tax Compliance Status Pin is compulsory for all applicants/clients applying for preferential market access permits. A Tax Compliance Status Pin has to confirm that the company is in good standing with SARS. A company that is not in good standing with SARS will be disqualified.
The quantity imported by an importer will be calculated based on a detailed list of Bills of Entry (BOEs) for the product concerned submitted together with the application form.
Arrangements
Products imported under the market access rebate permits are only for consumption in South Africa. If the market share for a particular applicant exceeds the limit for dominant firms contemplated in section 7(a)-(c) of the Competition Act, 1998 as amended. The dtic can adjust the allocation formula to create fair competition within that industry or sector.
Despite any provisions in other laws, applicants registered as joint ventures, mergers, consortiums, holding companies or other similar business arrangements are not allowed to apply separately from their subsidiaries, minority shareholders or divisions for the same product, as this will establish an unfair advantage towards other applicants.
Companies which have common directors or owners will be disqualified.
A lost permit will only be replaced if an affidavit in this regard has been submitted and the dtic is satisfied that the applicant acted in good faith and took the necessary steps to recover the original permit, as well as undertake to return the original permit if it is found. This includes permits lost due to incorrect information on the application form that requires the reissuing of a permit.
The replacement of a permit due to changes in the name, custom code or address due to mergers, business arrangements, or any other reason will require a repayment of the permit fee.
Time Periods for Applications
Applications for market access permits issued on a quarterly basis must be submitted during the following time periods:
(a) For the first quarter of the quota valid for importation during the period 01 January 2025 to 30 April 2025: Within four (4) weeks from the date of publication of this Notice – 04 November 2024.
(b) For the second quarter of the quota valid for importation during the period 01 April 2025 to 31 July 2025: From 01 to 28 February 2025.
(c) For the third quarter of the quota valid for importation during the period 01 July 2025 to 31 October 2025: From 01 to 31 May 2025.
(d) For the last quarter of the quota valid for importation during the period 01 October 2025 to 31 January 2026: From 01 to 31 August 2025
Applications for market access permits issued on a half-yearly basis must be submitted during the following periods:
(a) For the first half of the quota valid for importation during the period 01 January 2025 to 30 June 2025: Within four (4) weeks from the date of publication of this Notice – 04 November 2024.
(b) For the second half of the quota valid for importation during the period 01 July 2025 to 31 December 2025: From 01 to 31 May 2025.
Applications for market access permits issued on an annual basis for the period valid from 01 January 2025 to 31 December 2025 must be submitted by 04 November 2024.
Payment Procedures for an Import Permit
A fee of R1 600 per permit will be payable for annual permits, as well as lost permits and replacement permits issued until 31 March 2025.